On September 28, the Alaska Permanent Fund Corporation published its FY2026 Annual Report ahead of its Board of Trustee’s annual meeting September 30-October 1. APFC’s annual report, titled “What Alaska Built,” marks the 50th anniversary of Alaska’s Permanent Fund which has reached a total audited value of $91.9 billion with a 12.42% return for FY26.
According to APFC, the total return objective for FY26 was 8.54%— well exceeded by the 12.42% return. Over the past 10 years, the fund also outperformed its annualized performance benchmark of 8.91% by achieving 9.28% annualized return.
“Today, the Fund represents not only what Alaska has built; it is a central part of what Alaska is building,” states Executive Director & CEO Devon Mitchell in his letter included in the report. “…The next 50 years will be defined in large part by how Alaskans manage the Permanent Fund, not in the amounts saved by Alaskans of the past but rather by how future Alaskans prudently invest and grow those savings—and the Alaskan quality of life that will make possible.”
The Fund currently sits at a total value of $91.9 billion with $73.8 billion in the Principal (also called the corpus) and $18.1 billion in the Earnings Reserve Account (ERA). The Fund saw a total increase of $6.8 billion this fiscal year.
APFC Chair Jason Brune states in the report: “Looking ahead, the Board continues to support a constitutional amendment to strengthen the Fund through a single-account framework that would constitutionally protect approximately 95% of Fund assets, provide automatic inflation proofing, and better align the Fund’s structure with its long-term purpose.”
The idea of merging the corpus and the ERA into one account has been hotly debated. Senator Robb Myers (R-North Pole) has argued in favor of the merger. 2026 candidate for Lt. Governor Josh Church, running with Dave Bronson, wrote an op-ed published on Must Read Alaska supporting Senator Myers’ position. Jon Faulkner, former Commissioner of Commerce, argued against the merger.
The Fund’s largest revenue driver is investment in Public Equities, which accounts for $33.2 billion in revenue. This asset class represents 76 countries with 59% of investments in U.S. stocks and 41% in non-U.S. stocks. The target asset allocation for the Public Equities
portfolio was increased from 32% to 34% for FY27. Other asset classes include Fixed Income, Private Equity, Real Estate, Private Income, Absolute Return, Cash, and Tactical Opportunities (listed in order of greatest precent allocation to least).
Dedicated State of Alaska revenue deposited to the corpus of the Fund was $535 million in FY26, up from the $489 million deposited in FY25. Revenue deposits are based on mineral prices and production.
The largest category of the Fund’s balance (80% in FY25 and 85% in FY26) is not spendable by the State government. The committed portion of the balance represents the amounts appropriated by law by the end of the fiscal year, which constitutes 4% of the Fund in both FY25 and 26. This includes the Precent of Market Value (POMV) drawn from the ERA to the General Fund. The remaining 11%, labeled “assigned,” is revenue available for future government appropriations and totals approximately $14 billion.
Read the full report:
